New mortgages launched by Legal & General

Date:Friday 11th December 2009
Author: Susanna Kavka

Legal & General has announced it is to start offering mortgages through Newcastle Building Society.

New products include a two-year fixed rate mortgage, on the market at 3.65 per cent with an early repayment charge, or four per cent without the additional fee.

There is also a two-year tracker at 1.99 per cent, plus the Bank of England base rate, with a three per cent early repayment charge.

Both of the products are on offer with a loan to value (LTV) of up to 80 per cent.

The semi-exclusive mortgages join the mortgage payment protection plans and travel insurance that has been offered by Legal and General through the building society since 2007.

Martyn Smith, head of mortgage products at Legal & General, said: "The higher LTV market is coming back and these are good examples of competitive rates at those levels."

Earlier this month, Legal & General commented that the base rate needs to be increased further in order to restart the remortgaging market.